PM Youth Progam: A Game Changer May Be?

                           PM Youth Program: May Be A Game Changer ?

Pakistan is going through worst ever economic crisis in it's 65 years of existence which infact is becoming an existential threat for the country, lawlessness, rampage corruption and job drought is making the lives of middle class families in particular, a living hell. I remain a strong critic of Benazir Income Support Fund which has actually turned this country into a bunch of beggars, with zero job creation and easy money pouring into families, infact not helping them in the long run rather is making them susceptible and vulnerable in an environment of cut throat competition.

PMLN as promised by their leader in his pre-election rallies has come up with a comprehensive plan for the skilled youth, low income groups, students education, Youth training program's etc. But I am more interested in "Business Loans", Qarz-e-Hasna Scheme", "Reimbursement Of Fee For Students".

In a country where hundreds of thousand  people  have become jobless in last 5-6 years, skilled youth with degrees have got no job opportunities it scares the hell out of me that in a country with huge bulk of young population ( 65% ), regrettably have nothing to do, it terrorise me even further when I see my country in chaos and in grip of repeated terrorist strikes. In this  era of mayhem and disarray this scheme seems to be breath of fresh air if you analyse it closely, more importantly if implemented honestly without political interference and merit is the kingpin while awarding these loans. 

Now let me explain, why I think this Youth Program can turn out to be a "game changer" if implemented honestly?. A   grace period of one year , 8% mark up on the loan, 6-7 years of payback period, if you count in inflation numbers, this loan scheme becomes a joy ride for the skilled youth, may turn them into a successful entrepreneurs in coming years. Now the real catch in these scheme is Government shell pay the additional mark up for the approved loan while the Banks first time in history of Pakistan shall invest on skilled youth rather on businessmen, politicians, feudal, Army backed ventures, real state tycoon's etc., meaning if we multiply the real numbers that runs into hundreds of billions. "Now this is totally unprecedented, never witnessed in history of Pakistan, only thing Government must be careful because State Bank shell be protecting the Banks investment so Government must make this scheme transparent and merit must be the driving force while awarding these loans".

Business Loans  will start with Rs. 5 billion this year, an  average of 1.25 million loan for the successful candidate. A staggering amount of Rs. 125 billion  has been allocated this year alone for the adept youth with Government paying  Rs. 5 billion in mark up to the banks, while 8% mark up will be borne by the youth, first year 100k skilled youth will get the Loans while if we go by these standards 500k in next five years, mind boggling 625 billion rupees shall be pumped into the economy, more importantly on efficient and able part of our society. Even if a eligible loan candidate hires two persons on average to run his business that becomes 200k new jobs a year and stupendous one million numbers in five years. Now even if we go by average size of a Pakistani family, a usual Pakistani household consists of 5 members, now you pick up your calculators, start multiplying  these numbers.

 Imagine a young doctor, pharmacist, engineer, a software genius, young entrepreneur with out of the world idea etc getting this loan at the very start of his carrier, establishes a small business in the beginning, we may witness a big change in coming years and decades, may revitalise the small to medium businesses in the country, importantly will pump hundreds of billion rupees into the ailing economy. 

Similarly Qarz-e- Husna Scheme for the poorest of the poor in the society, in fact this idea has already been successfully implemented by "Akhuat Foundation" by amazing "Dr Amjad Saqib" and carried forward by Punjab Government under the guidance of Dr Sahib under the banner of "Punjab Education Endowment Fund", you people will be astonished to know that the recovery of loans is close to 99% . This scheme shall cover startling 2.5 to 5 million people in the coming five years, 3.5 billion have been allocated for the scheme, multiply  with the households you will be amazed to see the number. 

Finally, the reimbursement scheme of student fee, for those students studying in HEC recognised public institutions doing their Masters and PhD, will cover 30,000 students yearly, Rs. 1.2 billion have been allocated annually. Deserving students studying in Public Universities and belonging to backward areas of the country given the priority.